Pesaka Astana is working with Universiti Selangor (Unisel) to manufacture the vehicle. Its group chief executive officer Datuk Rafie Sain said it expects to produce up to 500 units of the vehicle in its first year of production.

"We have done all the research and development of the specialised tactical vehicle and are now looking at manufacturing them.

"We expect to roll out the vehicles at the manufacturing level in June," he told Business Times in an interview in Shah Alam recently.

Known as the collaborative campus scheme, Rafie said the company had allocated some RM4 million for the vehicle's development.

"The project started in 2003, but had to stop in 2005 due to several problems. It was then revived in 2009. We are using the local university and our own engineers to develop this product," he said.

Pesaka Astana claims to be the first in Malaysia to successfully manufacture its own customised chassis and specialised vehicle chassis. This is by expanding on the acquired knowledge gained from its integrated manufacturing system (IMS) experience and continuous research and development.

The IMS allows Pesaka Astana to source the necessary components through its network of original equipment manufacturer worldwide to manufacture its products, Rafie said.

On research and development, he said it is better to work with the local universities rather than its corporate peers. "Firms come and go but universities will always be there to teach and transfer knowledge to others."